The "Nixon Shock" refers to a series of economic measures taken by U.S. President Richard Nixon in 1971. The most significant action was the suspension of the U.S. dollar's convertibility into gold, effectively ending the Bretton Woods system. This decision aimed to combat inflation and stabilize the economy. As a result of the Nixon Shock, the global monetary system shifted from fixed exchange rates to floating rates. This change allowed currencies to fluctuate based on market conditions, leading to increased volatility in international trade and finance. The Nixon Shock had lasting impacts on global economics and monetary policy.